Business
Siemens India Shares Drop Up to 50% in Apps: Why the Stock Fell on April 7, 2025
On April 7, 2025, Siemens India shares appeared to nosedive by as much as 50% on some trading apps, sparking confusion among investors. However, this dramatic drop isn’t a sign of a stock market crash but a technical adjustment tied to the company’s landmark demerger. Siemens India, a key player in the capital goods sector, began trading ex-demerger today, spinning off its energy business into a separate entity, Siemens Energy India. This corporate action has reshaped the stock’s value, and here’s what it means for shareholders and the market.
The stock kicked off at Rs 2,571, a steep 48% slide from Friday’s Rs 4,939.80 close. That slashed its market cap below Rs 1 lakh crore—a jarring sight. Thing is, this isn’t about losses—it’s the energy business’s value being carved out. Shareholders as of today’s record date get one Siemens Energy India share for every Siemens India share they own, keeping their stake whole across two outfits.
What’s Behind the Drop?
The National Company Law Tribunal in Mumbai green-lit the split, letting Siemens India hive off its energy wing. It’s a page from parent Siemens AG’s playbook—streamline ops, unlock value. Post-demerger, Siemens India’s price reflects just its digital industries, smart infrastructure, and mobility gigs. The energy chunk? That’s now Siemens Energy India’s turf. X users nailed it: “Down 50% due to demerger, not a crash,” one wrote. Another spotted a 20% bounce later—hinting the market’s warming to the move.
When’s Siemens Energy India Hitting the Market?
Don’t expect the new kid to trade tomorrow. IIFL Securities pegs listing 60-90 days out, eyeing June 2025 per Siemens AG’s timeline. Nuvama thinks Siemens’ India clout might speed it up. For now, shareholders sit tight with unlisted energy shares, waiting for the payoff.
The split’s strategic: Siemens India sharpens its tech and rail focus, while Siemens Energy India chases power and green energy wins. Short-term jolt, sure—but it’s a long-game play.
Market Buzz and What’s Next
That 48% dip? Pure mechanics, not mayhem. Siemens India’s been a steady climber, and this could juice both entities’ futures. The “50% plunge” on apps is just unadjusted noise—your real worth’s split between two bets now. X chatter swung from “whoa” to “oh, got it”—a 20% post-drop pop shows faith in the plan.
For investors, it’s simple: don’t freak out. You’re in on Siemens India’s core and the energy spin-off’s upside. April 7, 2025, might just be a pivot point—volatility today, value tomorrow. Keep tabs as Siemens redraws its map in India’s capital goods game.